New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1887-12-06

c;,es The fact that London bank failure Is almost
unknown excepting during the unreaeopip us" rin
panic illustrates the general soundness oil theso
ciples But their methods of Inspector are nv ~.
only merits OF English JOINT Stock banking
alt 0uch these are 80 geriect thaI tne ~ 80 aIs
n, knowntofm OF fraud on the part oi 'no o"'S ~
which they wOult not unearh and expose AT once "
state of efficiency. IL ia nut proper 10 add
only after somewhat severe experience game" III
tho early days OF joint stock enterUrlse' ....,,
AmonT the aTvantsres of parent banking insttu-
tons lccated in the metropolis with outNlne ~
throughout the provinces may ne men'pnsu
loving. a bank having cham OF brahche@ Penc.l".
ing every seat of industry. agrcnlturai or na"h'
urng "a well ~ the PRIME residehtai ce",''9 I'll
lust its tuhds to meet the relur'm'h,- VI -"
ond u,ili1n IN the hast advantage its surplus casi
whil, nt the same time, meeting ire I'glln, i,
demands of every scct'On To use Lohlon va,
the live millions o sdrDlus deposits OF III" 'S' i.
pr,nch cnnin ba proftaby employed in discount Mt
Shoredcb IN the Fat End In addition 10 tnis pen
cfcal process vt aizinG the supply vi 'u '. 49,.
throu rhol the land, ;here Is the kho"'euS' y" 'Io
countrvs trade Gained ny an alirchnd nus.heTs.
Thu. il of inrsiimabie use 10 the cehtra oahh manu-
linz a .om, Of them do, from one hundred 10 ore
h,n, and city mi lions OF dollars OF assets Then
there i. aqain the question OF securlty-that remend-
ous factor IN all binkIng considerations.
I, il ner,ertly -ae 10 say IN either OF the "eH'
hoL mod could afford to lose the entire hs eis OF
ten of their ordinary provincial brahche' "'nnu,
heinz OBLIGED oil one cent from 'h',f eaptal
or tn pa.s n single di,idcnd. Ihey Wo"in SIMPLY
rite al the loss from their reserves ihere are occa-
sinna 4, hen disaster OvertIkes an ehtlrf coih"iua
when values utter donor ~ 'r'o" ~ '"2
nh4 af ~
@.r Can any one estimate the value OF niahch
hout e.oli .hn,ent such ~ has beth ontiihtn' 10
an,,,.,uitv of the kind suggested dan INSTITUTION
o , orsc nj absolute security reigncd, ana where
~ ,.,cfion ,lso maintained that the vast resources
" ;,.,,;c ost Ali shmcnt were available for all the
va '-.,io nrcos4itie- OF the place Ia TINS picture
rs'7"l - rely not On the contrary cven in
s,,id o,d ENGLAND. whore antiquity HIS 80 many
.'"'u Ma oil prvate local banks have gwen place
,.hs of tb, great JOINT stork establishments OF
t ~ rhe t,so institutions named have litorally
ahsfhs1 Hundreds Of them notNithstanding the iact
81 i,r,s nuuber. Of them had been established Tor
cha ,ro.t mar; Of n ceutury, end were IN every way,
without resroach. . .
wn;ia thns nnording feeling CT comfortable secur-
az tine provinces these, LONDON loitt sooA banks
u! !u ~ c 10 ave made London their chief con-
s.ler ,tion AMI care Engish pan!cs o'is'na'1 ana
' .n t';tv Of London if the strain Is well met
u 49, :, ,h.n ali /. we'll everywhere. Tho two banks
Wv. . ,,,ro hard cash at their conn ond thar
III ,h.ir ind,n telers could paw away IN three day
wnrli,, fr,n . till !. y, LcndOn panic has eN "i
,tlv.d rho second day. II any bank STOOD nrm aiei
m, d,v's run there vas generally iolnd &c he q
l.,t -, ION in its favor tho next How the diner
an, \ az. law, of Amerc" would oIerafe IN the case
"., ,,ck bank desiring to extend its branche,
"a no..ihc 20 establish in tns country organ
put II ~ , "a those named IA Visiting in Enc land
90 90 w. an Inc no doubt that If established on sound
t''.o I -itb a suficiency Of capital they ronld
80 49,, With thc country and become In me the nos
/ -i,,, a. vel a. the most usetdl monetary mat tn
- ,no world has ever aeon. The writer opinrs thai
hank Of this country will he Joint .oc
,h,ishment founded On the lines of similar orgsni
z,lions in England.
| V,r. york. Nov. :, 1877.